TORONTO, ONTARIO--(Marketwired - Jan. 12, 2016) - (TSX:XUU)(TSX:XUH) - iShares, the industry-leading exchange-traded fund (ETF) business at BlackRock Asset Management Canada Limited (BlackRock Canada) 1 , an indirect, wholly-owned subsidiary of BlackRock, Inc. (BlackRock) today announced changes to its iShares Core suite. As part of these changes, the annual management fees of the iShares Core S&P U.S. Total Market Index ETF (XUU) and iShares Core S&P U.S. Total Market Index ETF (CAD-Hedged) (XUH) will now be offered at 0.07%, making these funds the lowest cost, and broadest way to access the U.S. Total Stock Market in Canada 2 . The changes to both funds will be effective, as of market open on January 12, 2016.
"As the world's largest economy, we know the U.S. market often holds an important role in an investors' portfolio. As part of our mandate to deliver easy-to-access, well-diversified, and cost effective solutions through our iShares Core funds, these product enhancements are another step towards delivering on that goal," said Warren Collier, Managing Director, Head of iShares, BlackRock Canada.
Both XUU and XUH were launched in February of 2015, and provide investors with broad-based exposure to the total U.S. equity market, covering large, mid, small and micro capitalized companies. In addition to the fee reduction, both funds are expected to increase their respective exposure to over 3,700 individual securities, tracking the broadest U.S. market coverage index in Canada.
"With the iShares Core, we've had tremendous success in delivering low-cost investment solutions to the long-term, buy-and-hold investor. Through our global iShares Core platform, we are able to further deliver on this, by leveraging the breadth and depth of the global offering to the Canadian investor, in a cost effective manner," added Collier.
Continuing the momentum of the iShares Core
The iShares Core has provided investors with a comprehensive suite of low-cost investment solutions designed for the long-term investor to hold in the core of their portfolio. Since launching in March 2014, the iShares Core has captured 32% of flows 3 across their respective asset classes. With only a handful of funds, the iShares Core covers the major asset classes used by Canadian investors in their portfolios today, including Canadian equities, dividends and bonds, as well as U.S. and international equities. Globally, the iShares Core has been customized and delivered to long-term investors in the U.S., European and Canadian marketplaces over the past three years, and has gathered US $231bn in AUM 4 .
"While the ETF universe continues to evolve, the iShares Core continues to make it easy for investors to access and identify their core portfolio holdings," said Collier. "Today's evolution, is part of our effort to ensure we are adapting to the market, and providing Canadians investors with competitively-priced, well diversified ETF solutions."
Further information on the iShares Funds can be found at www.blackrock.com/ca ; to learn more about the iShares Core visit www.ishares.ca/core
About BlackRock
BlackRock is a global leader in investment management, risk management and advisory services for institutional and retail clients. At September 30, 2015, BlackRock's AUM was US $4.506 trillion. BlackRock helps clients around the world meet their goals and overcome challenges with a range of products that include separate accounts, mutual funds, iShares® (exchange-traded funds), and other pooled investment vehicles. BlackRock also offers risk management, advisory and enterprise investment system services to a broad base of institutional investors through BlackRock Solutions®. As of September 30, 2015, the firm had approximately 12,900 employees in more than 30 countries and a major presence in key global markets, including North and South America, Europe, Asia, Australia and the Middle East and Africa. For additional information, please visit the Company's website at www.blackrock.com/ca - Twitter: @BlackRockCA - Blog: www.blackrockblog.com/can
About iShares
iShares is a global leader in exchange-traded funds (ETFs), with more than a decade of expertise and commitment to individual and institutional investors of all sizes. With over 700 funds globally across multiple asset classes and strategies and more than US $1 trillion in assets under management as of September 30, 2015, iShares helps clients around the world build the core of their portfolios, meet specific investment goals and implement market views. iShares funds are powered by the expert portfolio and risk management of BlackRock, trusted to manage more money than any other investment firm 5 .
iShares Funds are managed by BlackRock Asset Management Canada Limited. Commissions, trailing commissions, management fees and expenses all may be associated with investing in iShares Funds. Please read the relevant prospectus before investing. The funds are not guaranteed, their values change frequently and past performance may not be repeated. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional.
Commissions, management fees and expenses all may be associated with investing in iShares Funds. Please read the relevant prospectus before investing. Fund securities are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer. There can be no assurances that the fund will be able to maintain its net asset value per security at a constant amount or that the full amount of your investment in the fund will be returned to you. The fund is not guaranteed, its values change frequently and past performance may not be repeated. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional.
| 1 | Based on assets under management ("AUM") CAD $46.9bn, as of December 31, 2015. |
| 2 | Internal Research, BlackRock Canada, as of December 31, 2015. |
| 3 | Internal Research, BlackRock Canada, for the period of March 24, 2014 to September 30, 2015. |
| 4 | Based AUM, as of January 8, 2016. |
| 5 | Based on US $4.506 trillion in AUM as of 9/30/15. |
